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Informist, Monday, Aug 12, 2024

 

--India Jun industrial growth 4.2% vs 4.0% year ago 
--Informist poll estimated India Jun industrial growth at 5.1% 
--India Jun consumer non-durables output growth -1.4% vs 0.5% yr ago 
--India Jun consumer durables output growth 8.6% vs -6.8% yr ago 
--India Jun infra goods output growth 4.4% vs 13.3% year ago 
--India Jun intermediate goods output growth 3.1% vs 5.2% year ago 
--India Jun capital goods output growth 2.4% vs 2.9% year ago 
--India Jun primary goods output growth 6.3% vs 5.3% year ago 
--India Jun electricity sector growth 8.6% vs 4.2% year ago 
--India Jun manufacturing sector growth 2.6% vs 3.5% year ago 
--India Jun mining sector growth 10.3% vs 7.6% year ago 
--India May industrial growth revised to 6.2% vs 5.9% provisional 
--India Apr-Jun industrial growth 5.2% vs 4.7% year ago 

 

NEW DELHI – India's industrial production fell to a five-month low of 4.2% in June from 6.2% in May, mainly because of a slower growth compared to the previous month in the manufacturing sector as well as the electricity sector, data released by the National Statistical Office showed today. Industrial production had grown only 4% in June last year.

 

Industrial growth in June was lower than the consensus estimate. According to an Informist poll, industrial growth was seen at 5.1%.

 

The manufacturing sector, which accounts for more than three-fourths of the total weight of the Index of Industrial Production, grew at 2.6% in June from 5.0% a month ago. The manufacturing sector output growth in June was at a seven-month low.

 

The electricity sector output also grew slower at 8.6% in June, against 13.7% in May. On the other hand, growth in the mining sector rose to 10.3% in June from 6.6% a month ago. This was on account of higher demand for coal, Bank of Baroda Chief Economist Madan Sabnavis said in a press note. 

 

Within the use-based category, growth in the output of primary goods fell 6.3% in June, from 7.3% in May. Output of consumer durable goods grew 8.6% in June compared with 12.6% in May.

 

The output of consumer non-durable goods contracted 1.4% in June from a growth of 2.5% in May. Output growth of intermediate goods eased to 3.1% in June, compared to 3.9% a month ago.

 

The growth in output of capital goods also slowed to 2.4% in June from 2.9% in May. Similarly, output of infrastructure goods grew 4.4% in June, against 6.3% in May. 

 

Industrial production grew 5.2% in the first quarter of 2024-25 (Apr-Mar), against 4.7% in the corresponding period of the previous year. Going ahead, the IIP growth is likely to ease to 2.5-4.5% in July, ICRA Chief Economist Aditi Nayar said in a note.

 

"With a slowdown in government capital expenditure amidst the elections and lacklustre rural demand as well, we anticipate a moderation in the GDP growth print for Apr-Jun," Nayar said. The National Statistical Office will release the GDP data for Apr-Jun on Aug 30.

 

But the industry appears to be on the right path and further pick-up can be expected from the end of Jul-Sep and Oct-Dec, as the festival season brings in higher demand, Sabnavis said.

 

The following tables detail year-on-year changes in industrial output in June (in %):

 

	Jun 2024	May 2024	Jun 2023
General	4.2	6.2	4.0
Mining	10.3	6.6	7.6
Manufacturing	2.6	5.0	3.5
Electricity	8.6	13.7	4.2
Primary goods	6.3	7.3	5.3
Capital goods	2.4	2.9	2.9
Intermediate goods	3.1	3.9	5.2
Infrastructure/construction goods	4.4	6.3	13.3
Consumer durables	8.6	12.6	(-)6.8
Consumer non-durables	(-)1.4	2.5	0.5

 

	Mining				Electricity				Manufacturing				General
	2024-25	2023-24	2022-23	2021-22	2024-25	2023-24	2022-23	2021-22	2024-25	2023-24	2022-23	2021-22	2024-25	2023-24	2022-23	2021-22
Apr	6.8	5.1	8.4	36.5	10.2	(-)1.1	11.8	38.5	3.9	5.5	5.6	196.0	5.0	4.6	6.7	133.5
May	6.6	6.4	11.2	23.6	13.7	0.9	23.5	7.5	5.0	6.3	20.7	32.1	6.2	5.7	19.7	27.6
Jun	10.3	7.6	7.8	23.1	8.6	4.2	16.4	8.3	2.6	3.5	12.9	13.2	4.2	4.0	12.6	13.8
Jul		10.7	(-)3.3	19.5		8.0	2.3	11.1		5.3	3.1	10.5		6.2	2.2	11.5
Aug		12.3	(-)3.9	23.3		15.3	1.4	16.0		10.0	(-)0.5	11.1		10.9	(-)0.7	13.0
Sep		11.5	5.2	8.6		9.9	11.6	0.9		5.1	2.0	4.3		6.4	3.3	4.4
Oct		13.1	2.6	11.5		20.4	1.2	3.1		10.6	(-)5.8	3.3		11.9	(-)4.1	4.2
Nov		7.0	9.7	4.9		5.8	12.7	2.1		1.3	6.7	0.3		2.5	7.6	1.0
Dec		5.2	10.1	2.6		1.2	10.4	2.8		4.6	3.6	0.6		4.4	5.1	1.0
Jan		6.0	9.0	3.0		5.6	12.7	0.9		3.6	4.5	1.9		4.2	5.8	2.0
Feb		8.1	4.8	4.6		7.5	8.2	4.5		4.9	5.9	0.2		5.6	6.0	1.2
Mar		1.3	6.8	3.9		8.6	(-)1.6	6.1		5.8	1.5	1.4		5.4	1.9	2.2

 

	Mining	Manufacturing	Electricity	General
2023-24	7.9	5.5	7.2	6.0
2022-23	5.7	5.0	9.2	5.5
2021-22	12.2	11.8	7.9	11.4
2020-21	(-)7.8	(-)9.6	(-)0.5	(-)8.4
2019-20	1.6	(-)1.4	1.0	(-)0.8
2018-19	2.9	3.9	5.2	3.8
2017-18	2.3	4.6	5.4	4.4
2016-17	5.3	4.4	5.8	4.6
2015-16	4.3	2.8	5.7	3.3
2014-15	(-)1.4	3.8	14.8	4.0
2013-14	(-)0.1	3.6	6.1	3.3
2012-13	(-)5.3	4.8	4.0	3.3

 

Source: Ministry of Statistics and Programme Implementation

 

End

 

 

Reported by Krity Ambey

Edited by Tanima Banerjee

 

 

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